Economic growth: New govt should take structural policy initiatives: PTEA patron

FAISALABAD: Pakistan Textile Exporters Association (PTEA) has welcomed the new cabinet and expressed the hope that the new government will take structural policy initiatives to stabilize the crumbling economy and stimulate economic growth.

In a statement here on Tuesday, Khurram Mukhtar, Patron-in-Chief of the Pakistan Textile Exporters Association (PTEA) has stressed the need to identify the key priorities to steer the country’s economy out of challenging times. Identifying the areas that should be prioritized to achieve sustainable economic recovery, he said that the government should focus on bolstering export-oriented policies, particularly in sectors such as textiles, where Pakistan has a competitive advantage. Encouraging investments, providing export incentives, and improving market access for Pakistani exporters will help boost export earnings and reduce trade deficits. To attract both local and foreign investments, it is imperative to create an enabling business environment. Efforts should be made to reduce bureaucratic hurdles, simplify regulatory procedures, and ensure transparency and accountability in the decision-making process. This will encourage entrepreneurship, stimulate economic growth, and create job opportunities.

He said that investment in infrastructure, including transportation networks, energy supply, and digital connectivity, is essential for economic progress. The government should prioritize infrastructure projects to improve connectivity within the country and enhance access to regional and global markets. This will facilitate trade and attract foreign direct investment.

PTEA’s patron-in-chief was of the view that addressing the energy crisis and ensuring a reliable power supply is crucial for sustained economic growth. The government should focus on energy sector reforms, including diversifying the energy mix, promoting renewable energy sources, and improving transmission and distribution infrastructure. This will reduce production costs and enhance competitiveness for industries like textiles.

He also highlighted the impact of liquidity issues on export production, stating that delayed refund disbursements are causing severe financial hardship for exporters. He urges for timely refund disbursements and the implementation of zero-rated GST on energy bills for export industries.

Copyright Business Recorder, 2024